The recent rally in the prices of bulk commodities, notably iron ore and coking coal, together with the divestment of the niobium and phosphates division, should result in improved credit metrics for global mining company, Anglo American PLC. In our view, the company's decision to pursue more value for its noncore assets is supportive in the short term given the current prices, and would allow the company to continue deleveraging through 2017. We are therefore raising our long-term corporate credit rating on Anglo American to 'BB+' from 'BB'. The stable outlook reflects our view that Anglo American's execution of its deleveraging plans would translate into a financial buffer under the current rating. On Dec. 1, 2016, S&P Global Ratings raised
